Tax payers may soon be able to take care of their taxes online if proposals to modernise tax systems are given the go ahead. A consultation paper by HM Revenue and Customs (HMRC) has been drafted which looks at revamping the system and allowing PAYE tax payers the opportunity to do all their tax business on the internet.
The proposals are aimed at simplifying the system and it is hoped that it will afford PAYE tax payers greater understanding of how taxation works and create a fairer and more transparent tax system.
The consultation paper asks interested parties to comment on the provision of PAYE online accounts, the pros and cons of self-assessment and pre-filled tax returns, and the use of pre-filled tax statements non self-assessors.
David Gauke, Exchequer Secretary, said: “The plan is to deliver a simplified taxation system that people can understand. People should be aware of what they are personally paying in tax and why they are paying at that rate. Additionally, we are looking ways in which we can integrate the handling of income tax and National Insurance Contributions which benefits both employees and employers.”
Interested parties can comment on the proposals until the consultation closes on 24 February 2012.